Aug 17 - GSD Says Panorama Report On Credit Finance “Increases Public Concern”
The GSD says it notes the “concerning statements” in relation to the Sunborn loan made by the Panorama newspaper in an article published last week.
A statement released yesterday evening continued: “The Panorama article reveals in detail many interesting figures. Details which have been denied to the public by the Chief Minister himself, including the size of the loan, the loan term and the interest payable. It also questions whether the entity to whom the loan was made by Credit Finance Co Limited is in a position to repay the loan when it becomes due, apparently in 2018.
“Whilst the GSD would like to see the floating hotel prosper and in return positively contribute to Gibraltar’s economy, it must be recalled that the terms of the loan to the Sunborn has been shrouded in secrecy from the very beginning. In 2013, the Chief Minister said the Government had not directly or indirectly afforded the owners of the Sunborn with a loan, something which later proved to be a lie.
“In 2014 the Leader of the Opposition asked the Chief Minister whether the repayments on Sunborn loan had been paid on their due date. The answer from the Chief Minister was that it had. When the same question was asked in 2015, the Government refused to answer it and as it refused to answer whether the terms of repayment had been rescheduled. An answer to these questions would have allowed us to assess whether the owners of the Sunborn were having difficulties meeting the repayments of the debt.
“The Opposition reiterates its long-standing position that the money in Credit Finance Co Limited is a combination of taxpayer and savers' money. This is a Government owned company and the Government should be open and transparent in its dealings with public money and the risks associated with any loans made using public money. The Government have successfully muddied the waters with Credit Finance Company Limited loans, to such an extent that people do not understand the gambles and risks this Government are taking, in the same way as they are doing with the £300m so called investment which turns out to be a loan.
“Transparency and accountability are the corner stones of any democracy. Good investigative journalism, which has been non-existent on this important issue over the past five years, is vital. In this regard, the Panorama newspaper should be congratulated on its article.”
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